Enhanced First-Time Homebuyer Program

Enhanced First-Time Homebuyer Program is a grant for homebuyers in New Bedford, Massachusetts. The Enhanced First-Time Homebuyer Program is the City of New Bedford's expanded ARPA-funded forgivable grant launched to broaden access to homeownership for moderate-income (up to 120% AMI) first-time buyers. It supplements the City's longstanding HOME-funded Neighborhoods First DPA (capped at 80% AMI). Funds may be used for down payment, closing costs, or interest-rate buydown. Awards are secured by a 5-year affordability deed restriction; the grant is fully forgiven if the buyer continuously occupies the home as primary residence for 5 years. ARPA-funded enhanced grant of up to $35,000 (originally up to $25,000) toward down payment, closing costs, and interest-rate buydown for income-eligible first-time homebuyers purchasing in the City of New Bedford. Structured as a 5-year forgivable grant secured by a deed restriction. balance forgiven entirely if buyer remains in the property as primary residence for the 5-year compliance period. Funding is finite (ARPA / SLFRF) and the program is winding down as ARPA dollars are exhausted, but the City has indicated it will continue prioritizing homeownership programs as future federal funding allows. Funding comes from ARPA, SLFRF, Federal, and Local Government.

Enhanced First-Time Homebuyer Program is structured as a grant, so it is not repaid. Repayment is triggered by Forgivable grant: 100% forgiven after 5 years of continuous primary occupancy and full repayment owed if home is sold, transferred, refinanced with cash-out, or ceases to be primary residence within 5 years. The assistance is recorded in 2 position. Forgiveness and repayment terms are set by the program and can change — confirm them on the official program page before applying.

Enhanced First-Time Homebuyer Program is open to first-time homebuyers and homebuyers who will live in the home as their primary residence. "First-time" has exceptions here: First-time homebuyer (no ownership of residential real estate in prior 3 years) or displaced homemaker. On credit, the program states: No fixed program minimum; first-mortgage lender determines (typical floor 620-640). A homebuyer education course is required, through HUD-approved homebuyer-education agency (typically PACE/Plan-It Smart or NeighborWorks Southern Mass); 8-hour pre-purchase education plus post-purchase session required. Residency requirement: Property must be in the City of New Bedford and the buyer's primary residence for at least 5 years. Citizenship or immigration status: U.S. citizen or eligible non-citizen permitted by federal program rules. First-time homebuyer (no homeownership in prior 3 years); household income at or below 120% AMI for the New Bedford HMFA (approx. $92,050 1-person to $173,500 8-person FY26); property must be in New Bedford and be primary residence for 5 years; visual lead-safe and code inspection required; complete HUD-approved homebuyer education.

Enhanced First-Time Homebuyer Program limits household income to 120% of the area median income, which varies by county and household size. Household income at or below 120% AMI for New Bedford HMFA: ~$92,050 1-person, $105,200 2-person, $118,350 3-person, $131,500 4-person, up to ~$173,500 8-person (FY26). The limit applies to total household income, not only the borrower’s. The program lists a maximum household size of 8. Area median income figures are published by HUD and updated annually, so check the current table for the county before relying on a number.

Enhanced First-Time Homebuyer Program caps the purchase price as follows: No fixed cap; property must comply with HUD HOME / SLFRF underwriting reasonableness review. Eligible property types include Single-family detached, Two-family, Three-family, and Condominium. New construction is eligible. Manufactured homes are not eligible.

Enhanced First-Time Homebuyer Program names educators, law enforcement officers, and firefighters among the groups it serves. Being named here means the program mentions the group, not that membership alone qualifies an applicant — the rest of the eligibility rules still apply.

Enhanced First-Time Homebuyer Program serves homebuyers purchasing in New Bedford, Massachusetts.

Applications for Enhanced First-Time Homebuyer Program go through the administering agency, which publishes the current terms and the application steps on its own site. Funds are reserved through First-come, first-served; applicant submits HCD application with lender pre-approval. ARPA funding is finite and program is nearly fully committed. Hey Prescott is not a lender and does not accept applications; this page describes the program so a homebuyer can take it to a lender or housing counselor.